Vol.vm f July 1908 No. 2
NORTHWESTERN UNIVERSITY BUILDING
Lake Sf Dearborn Streets
5 — Monday . .
6 — Tuesday . .
26 — Thursday . .
23 — Wednesday .
4 — Monday . .
28 — Thursday . .
8 — Monday . .
22 — Monday . .
12 — Monday . .
27 — Thursday. .
30 — Sunday. . .
I — Tuesday . .
2 — ^Wednesday .
2 — Wednesday .
3 — ^Thursday. .
22 — Tuesday . .
31 — Saturday . .
Formal Opening of the School of
Regular class work begins
Thanksgiving, a holiday
Christmas recess begins
Class work resumed
Second half year begins
Washington's Birthday, a holiday
Easter Monday, a holiday
Baccalaureate Sermon at Evanston
Meeting of the Corporation
President's Annual Reception
Annual Commencement of
Summer School begins at Evanston
Summer School closes
SCHOOL OF COMMERCE
Plan of Organization
(i) The undersigned subscribers to this agreement shall constitute a Board of
Guarantors who, through an Executive Committee, shall supervise the finances of the
School of Commerce, who shall authorize all expenditures, and to whom a detailed
financial statement shall be submitted annually. The acts of the Board of Guarantors
and of its committees shall be subject to the approval of the Executive Committee of
the Board of Trustees.
(2) The business and financial management of the School shall be vested in an
Executive Committee of the Board of Guarantors, consisting of the President of the
University, ex-officio, and of seven members, one of whom shall directly represent
Northwestern University, three shall be members of the Board of Guarantors, and three
shall be members of the Illinois Society of Certified PubHc Accountants. The repre-
sentative of the University shall be its Business Manager and he shall be Treasurer of
(3) In consideration of the financial obligation assumed by this Board of Guarantors,
the trustees of Northwestern University, as parties to this agreement, agree to permit
the use of such available rooms in the Northwestern University Building, at the corner
of Lake and Dearborn Streets, Chicago, as are necessary for the purposes of said School.
(4) The School of Commerce shall be an integral part of the University, the payment
of all fees shall be made through the office of the University in the Northwestern Uni-
versity Building, at the corner of Lake and Dearborn Streets, in Chicago, the Business
Manager shall account for fees and disburse funds on requisition in the regular way.
(5) The trustees of the University, upon recommendation of the faculty of the School
of Commerce, shall grant a diploma to students who have completed satisfactorily any
of the prescribed courses.
(6) The Dean of the School of Commerce, who shall be the administrative officer,
shall be appointed by the President and trustees of Northwestern University.
(7) The Dean shall have power to appoint assistants in both instruction and adminis-
tration, subject to the approval of the President and trustees of the University.
(8) As soon as the required amount of subscriptions be obtained, upon the written
request of five guarantors, a meeting of the guarantors in person or by proxy shall be
held for organization and the appointment of an Executive Committee.
(9) Except as herein definitely provided the government and conduct of the School
shall be determined according to the statutes of the University.
(10) This agreement shall cease and terminate on September 30, 191 1.
I hereby agree to become a member of the Board of Guarantors of the School of
Commerce of Northwestern University, and agree to become liable for a sum not to
exceed the amount set opposite my name, to cover any deficit which may be incurred
in the operation of said School, under the provisions set forth above.
Any possible assessment on this subscription shall not exceed such proportion of the
total deficit as my subscription bears to the total amount subscriped, and said assess-
ment, if any, shall be payable on the fifteenth day of May of each year covered by this
This agreement shall notbevaUd until a total of $5,000 shall have been subscribed.
Board of Guarantors
Alfred L. Baker
Adolphus Clay Bartlett
Charles L. Brown
R. S. Buchanan
Edward B. Butler
J. Fred Butler
Fayette S. Cable
James Robert Cardwell
John Alexander Cooper
Joseph H. DeFrees
A. Lowes Dickinson
Herman J. Dirks
George W. Dixon
William A. Dyche
Charles W. Folds
David R. Forgan
Edward E. Gore
Richard C. Hall
William F. Hypes
J. Porter Joplin
Edward Chester Kimbell
Charles S. Ludlam
John Lee Mahin
Charles A. Marsh
Stethen T. Mather
L. Wilbur Messer
E. M. Mills
S. Roger Mitchell
Arthur G. Mitten
LuMAN S. Pickett
William Hinman Roberts
isadore b. rosenbach
Albert W. Rugg
Charles H. Schweppe
John W. Scott
Elijah W. Sells
Arch. Wilkinson Shaw
Georgf a. Sheldon
Allen R. Smart
Mason B. Starring
Joseph E. Sterrett
Homer A. Stilwell
Harry A. Wheeler
L. L. White
John T. Wilder
T. Edward Wilder
Orville G. Williams
Henry W. Wilmot
H. A. Winterburn
SCHOOL OF COMMERCE
Executive Committee of the Board of Guarantors
Abram Winegardner Harris
President of the University, Chairman ex-ofEcio
Representing the Chicago Association of Commerce
Richard C. Hall
President of the Association of Commerce
Hart, Schaffner £f Marx
L. Wilbur Messer
Chairman Association of Commerce Committee on Commercial Of Industrial Education
General Secretary of the Chicago Central Young Men's Christian Association
Representing the Illinois Society of Certified Public Accountants
John Alexander Cooper, C. P.A.
Vice-President of the IlKnois Society of Certified PubHc Accountants
Allen R. Smart, C. P. A.
Manager Barrow, Wade, Guthrie £f Company
J. Porter Joplin, C. P. A.
Buchanan, Walton &' Joplin
William A. Dyche
Business Manager of Northwestern University
Messrs. Cooper, Dyche and Messer
Abram Winegardner Harris, Sc.D., LL.D.,
President of the University
Instructors in Course
WiLLARD Eugene Hotchkiss, A.M., Ph.D Dean
Earl Dean Howard, A.M., Ph.D., Assistant Professor of Economics
Seymour Walton, A.B., C.P.A. . . . Lecturer in Accounting
Henry G. Phillips, C.P.A Lecturer in Accounting
Alfred William Bays, A.B., LL.B. Lecturer in Commercial Law
Frederick Shipp Deibler, A.M. . . Instructor in Economics
Fred Homer Clutton, A.M Secretary
Edward B. Butler, Butler Brothers
George B. Caldwell, Manager, Bond Department, American Trust
& Savings Bank
Frederick Adrian Delano, President, Wabash Railroad Company
John Henry Gray, Professor of Economics and Political Science,
University of Minnesota
C. F. HuLBURD, President, Elgin National Watch Company
Joseph French Johnson, Dean of School of Commerce, New York
L. Wilbur Messer, General Secretary, Chicago Central Young Men's
George E. Roberts, President, Commercial National Bank
(Director of the Mint, 1898-1907)
William A. Scott, Director of Course in Commerce, University of
Arch. Wilkinson Shaw, Editor and Publisher of ''System"
Towner K. Webster, President, Webster Manufacturing Company
Harry A. Wheeler, Chairman, Executive Committee of Association
SCHOOL OF COMMERCE
Foundation and Aim
Desirability of The Northwestern University School of Commerce
University has been established to meet the needs of those
Training for men w^ho desire to enlarge their opportunities by
Business systematic study. With the reduction of business
principles and business practice to teachable form,
the feasibility of systematic university training for business has be-
come universally recognized. Efficiency in business is now^ measured
by definite standards and the elements of permanent value of the
vast accumulation of successful experience can now be made avail-
able for young men who are willing to enter on a formal course
of study. As never before, the highest efficiency in business involves
ability to see business problems in all their relations. Men who
have not been trained to take a broad view of business activities can
no longer hope to rise to positions of command and influence. Busi-
ness men of wide experience are advising a careful and thorough
preparation such as the Northwestern University School of Commerce
is intended to furnish.
Evening To accommodate the large number of men who
Courses are precluded by their employment from pursuing
Leading to regular day work at a university, a three years'
Diploma in evening course leading to a diploma in commerce
Commerce will be inaugurated in October of the present year.
The work will be given four evenings a week be-
tween the hours of seven and nine, and will continue from October
fifth until May twenty-seventh.
Courses A number of men have already availed themselves
Offered of individual courses oflFered in the Northwestern
During the University Building during the past season. The
Past Season course in Finance, given by Professor Earl Dean
Howard, of the Department of Economics in the
University, and the course in Accounting, offered by Mr. Seymour
Walton, C. P. A., President of the Illinois Society of Certified PubHc
Accountants, have had an aggregate attendance of over sixty students.
The estabUshment of a full three year course is in direct fulfilment of
plans contemplated when these individual courses were undertaken.
Both Professor Howard and Mr. Walton will continue their work as
members of the instructing staff of the School of Commerce.
The names of students registered in these courses during
the past year may be found on page 32 of this announcement.
School of In establishing the School of Commerce, business
Commerce men and educators are uniting to meet the urgent
Supported by need for a broad and fundamental training for
Chicago's the business career. The School has come about
Leading through the co-operation of Northwestern Uni-
Business Men versity with the Chicago Association of Commerce,
the Illinois Society of Certified Public Accountants,
the Chicago Chapter of the American Institute of Banking, and the
public spirited business men whose names are here published as
guarantors of the School. Members of all the organizations men-
tioned will participate as members of the Board of Guarantors in the
responsible management of the School.
Aim — To The aim of the Northwestern University School
Increase of Commerce is to broaden the horizon, increase
Efficiency the efficiency, and promote the progress of its
and students towards positions of greater responsibility
Promote and influence. It is not its purpose to replace,
Progress but rather to supplement and prepare for actual
of Students business experience. While training its students
for their future careers, it will endeavor to give
them with the advantages of university culture, a broader outlook
upon all the relations of their prospective callings.
Help The business career is rapidly acquiring, and
Students to ought to acquire a recognized professional stand-
Become ing. Every young business man demands a train-
Leaders in ing which will not only enable him to maintain
Business his place in the profession, but one which will
Professions help him to become a leader in raising the standards
of business efficiency in the broadest and best sense
of the word. To rise to such a position he must be able to look beyond
the routine duties of his work and grasp the broader principles upon
which business success is founded.
SCHOOL OF COMMERCE
To Adapt At a time when many of our great business firms
Business were in process of formation, a young man who
Training to secured a position in a thriving business and grew
Needs of as the business grew obtained perhaps the train-
Present Day ing best adapted to the needs of that time. The
Business situation at present, however, is essentially differ-
ent. Not only has business become infinitely
complex and specialized, but the far-reaching public relations of a
great modern business are demanding more and more qualities of
mind and spirit which a comprehensive systematic study of business
in its broader and more fundamental relations is best calculated to
To Bring the The dearth of men properly qualified for the more
Opportunities responsible positions is a striking feature of modern
OF Business business life. Able young men, either from
Training necessity or from too great haste to engage in
TO Men business, frequently secure employment without
Already requisite training to advance to the higher positions.
Employed Such men, deprived of the promotion for which
their native abilities, if properly developed, would
naturally fit them, often waste years in subordinate routine work. With
the specialization of modern business, it is becoming more and more
obvious that practical business experience does not, and cannot for
the great mass of business employees, furnish unaided the kind of
training that is today demanded in responsible positions. In every
business center there are hundreds of young men who feel keenly the
need of the systematic training which it is the aim of the North-
western University School of Commerce to furnish.
Need is for Until a few years ago, the only opportunity for
Training of special business training beyond the common
University school or high school, was confined to the work
Grade of elementary ** business colleges." Useful in its
field as the function of the "business college" has
doubtless been, it has sought to prepare its students only for the
routine duties of subordinate clerical positions. The need at present
is for commercial education of a distinctively university grade.
12 NORTHWESTERN UNIVERSITY
Immediate A number of universities have for several years
Demand conducted day courses in commerce; but only
Met by those universities which are located in close prox-
EvENiNG imity to a large city have been able to make their
Courses work available to that class of students by whom
it is most needed and appreciated. The evening
courses not only render the service that is immediately demanded,
but they can be most effective in bringing about that close contact
with actual business which is absolutely essential to successful educa-
tion for leadership in the commercial world.
University That men regularly employed in various lines of
Evening business recognize the need for a broader training
Courses Sue- is demonstrated not only by the large registration
CESSFUL IN in the courses offered in the Northwestern Univer-
Other Cities sity Building in Chicago during the past season,
but also by the success which has attended the
establishment of evening schools in New York and Philadelphia.
The evening school of Finance and Accounts of the New York Uni-
versity has completed its sixth year with over eight hundred students.
The evening school of Accounts and Finance of the University of
Pennsylvania has finished its fifth year with six hundred students.
The students are all employed during the day and receive instruction
for two hours during four evenings per week in Philadelphia, and
five in New York; at the end of three years study they receive a diplo-
ma from the University.
Commercial The unparalleled advance of German trade and
Education commerce during the last generation has been
IN Europe long attributed in large measure to the excellence
and thoroughness of German commercial educa-
tion. Other countries are rapidly perfecting their educational sys-
tems in this regard. In Great Britain, evening schools of commerce
have experienced a noteworthy development. In Manchester alone,
the Central Evening School of Commerce, with courses covering the
field of Commerce and Accounts, as well as courses in political science
and modern languages, had a registration last year of nearly twenty-
five hundred students.
SCHOOL OF COMMERCE I3
The Univer- Northwestern University occupies an exceptional
siTY*s Facilities position for work of this kind. Its building at the
FOR Advanced corner of Lake and Dearborn Streets, Chicago,
Work in in the heart of the commercial center of the coun-
Commerce try, is already in use by other departments of the
University and is fully equipped for educational
work. Its proximity to all the large libraries of the city offers unusual
opportunities for study along lines followed in the courses. The
situation of the school in close contact with the actual business affairs
of the city makes available a mass of material for study and observa-
tion which could scarcely be excelled anywhere in the country.
The School The advantages of location are greatly enhanced
IS Close to by the plan under which the School is organized.
THE Business The representatives of the leading business firms
Community whose names appear on the list of guarantors,
have shown their direct interest in the work the
School is undertaking. They are, moreover, through their executive
committee, responsible for its efficient management. Some of them
will participate as special lecturers in the work of instruction. The
interest of these men in addition to keeping the work in line with the
needs of the business community will offer peculiar advantages to
graduates of the School.
14 NORTHWESTERN UNIVERSITY
Courses of Instruction
Evenings seven to nine
Accounting, Intermediate — Mondays .... Mr. Phillipps
Work in accounting during the first year will be given in two sec-
tions of which the first, or ** intermediate" section will presuppose,
besides the equivalent of a high school training required by the Illinois
statute creating the degree of Certified Public Accountant, a thorough
knowledge of primary accounting and routine bookkeeping. These
subjects will be touched upon only to give the history and the founda-
tion principles involved in a double entry system. Courses in book-
keeping and in elementary accounting offered in the Young Men's
Christian Association and other institutions of the city will enable
students to make up deficiencies preparatory to entering on the work
of the intermediate course.
This course will be concerned primarily with the "how" of different
accounting problems met with in a modern business office. It will
deal with partnership accounts, their opening, management and
closing; accounts incident to a corporation, including acquisition
from individual ownership, the issue and treatment of capital stock,
dividends, mergers of several companies, and liquidation; receiver's
and executor's accounts and the accounts of banks and brokers.
Cost accounts will be treated in a general way. The object of the
course will be to give the student a knowledge of principles and pro-
cedure as exemplified in modern accounting methods. In order to
arrive at a clear idea of the principles underlying accounting opera-
tions, the class will be expected to work out a large number of prob-
lems in theory, auditing, and practical accounting. Answers submitted
will be marked and returned after discussion in the class. Outline
notes of all lectures will be furnished.
Accounting, Advanced — Mondays Mr. Walton
The course in advanced accounting will deal primarily with the
"why" of accounting principles and will be confined to the scientific
analysis of problems in practical accounting, theory, and auditing.
A number of special and peculiar lines of accounts will be taken up,
SCHOOL OF COMMERCE I5
such as ** Municipal," ** Public Utility/' and "Insurance Accounts/'
and the sub-divisions of '* Manufacturing'' accounts. Discussions,
as far as possible exhaustive, v^ill be had on such topics as "Sinking
Funds," "Reserve Accounts," "Depreciation," and "Good Will."
Auditing v^ill be treated fully in connection with each subject. Ques-
tions asked at the C. P. A. examinations of different states, w^ill be
discussed with the object of reaching the accounting principles
involved. Students will be^required to submit answers to all ques-
tions, which will be returned with markings not only as to their cor-
rectness but also as to clerical technique. To accustom the students
to working under pressure of limited time, they will be required to
note on each answer the amount of time consumed. Discussions in
the class will be encouraged on all important points. The student
is expected to be famiHar with the ordinary vocabulary of the account-
ant and be able to understand the relations of different accounts to
each other from the bookkeeping standpoint. Abstracts of lectures
will be furnished each student. Students who complete this course
with credit will be prepared for the C. P. A. examination.
Finance — Tuesdays Professor Howard
(a) The Economics of Finance — The place of Finance in our eco-
nomic system; the financial principles arising from division of labor,
private property, organization of industry, exchange, etc.
(b) The Basis of Values — The underlying principles of value;
capital and income, forms of capital investment — stocks and bonds
and their value. Markets, stock exchanges. Wall Street.
(c) Money — The principles of money, a description of our mone-
tary system, compared with that of other countries. The Greenback
movement of the 70's, the Free Silver movement, the Gold Standard.
Demand and supply of gold. Legal tender.
(d) Banking — The function of banks, the development of bank-
ing, foreign banking systems, the Bank of England.
Deposits and bank notes; elastic currency; the Canadian system;
proposals of the American Bankers' Association.
The National Bank Act; state banking laws. The money market,
call loans, rate of interest, the relation between the New York banks
and Wall Street, the U. S. Treasury and Wall Street. The principles
of foreign exchange.
l6 NORTHWESTERN UNIVERSITY
(e) Credit — Loans and the granting of bank credit. The credit
man in the bank. The business of deaHng in commercial paper.
The principles of credit; collateral, the personal equation.
(f) Panics and Financial Crises — The great panics of 1837, 1857,
1873, 1893. The Wall Street panics of 1901 and 1903. The panic
of 1907. The nature and causes of panics. Plans for the mitiga-
tion of panics.
Money AND Monetary Legislation — Tuesdays . Mr. Deibler
To accommodate those students who completed the course in Finance
last year and who desire to take full work during the present season,
a special course is offered which will be devoted exclusively to the
subject of money. The course will emphasize particularly the his-
tory of monetary legislation and its effects upon prices and business
conditions. The movement for a single and a double standard will
be studied in connection with the world's production of gold and
silver. Attention will be drawn to recent practical application of
monetary principles to the installation of new systems of currency
in the PhiHppines and other eastern countries.
The course will be confined to students who have completed the
first course in Finance and will be given only upon sufficient regis-
Practical Economics — Wednesdays . . Professor Hotchkiss
The aim of this course will be to give students an appreciation of
the principles underlying the business activities of the community,
and to enable them to apply sound economic reasoning to the prac-
tical affairs of business hfe. The first part of the course will be con-
cerned largely with establishing through discussion and illustrations
drawn from concrete experience, the principles upon which values
(a) Value and Wants — Value dependent on wants. Business
activity; the machinery for satisfying wants. Elements in business
activity — production, exchange. Exchange and perfection of machin-
ery for gratifying wants. Division and specialization of labor. De-
velopment of present day business through increase and differentiation
of wants. Growth of values. Value and scarcity. Effect of scarcity
on wants. Inter-relation of scarcity and desire. Psychological
element in value.
SCHOOL OF COMMERCE I7
(b) Measure of Value — The value of goods measured by willingness
to exchange for other goods. Exchange of all goods for money.
Money as a measure of value; as a medium of exchange; other func-
tions of money; money and price. Distinction between value and
price. Influences affecting price. Demand and supply. Meaning
of demand. Demand as dependent on power to give something in
exchange. Demand as affected by standard of living. Meaning
of supply. Influences affecting supply. Effect of cost on supply.
Meaning of cost. Inter-relation of supply and demand. Summary
of fundamental principles of value.
(c) The Principles of Value and Practical Business Problems —
Wages; profits; interest; rent. Competition and monopoly. Prin-
ciples of monopoly price. Illustrations of effect of monopoly. Con-
ditions under which monopoly tends toward higher prices; toward
lower prices; toward fixed prices.
(d) Political Factors in Value — Stability of government; taxes;
tariffs; government regulation of industry.
(e) Principles of Value in Specific Lines of Business — ^Values as
affected by particular lines of policy in individual concerns. Values
as affected by the specific market conditions for particular products.
Economic justification of different lines of policy. The place of
economic principles in the practical conduct of business.
A constant effort will be made to check general principles by appli-
cation to concrete facts. Students will be expeced to draw from
their experience and to participate freely in the discussions.
Commercial Law — Thursdays Mr. Bays
The work in Commercial Law is designed to give the student a
knowledge of such legal principles as will be of practical assistance
to him and give him greater efficiency in his business affairs. It also
includes all those subjects, required for the examination for Certified
First Half Tear, (a) Contracts — This course will treat of the
theory of contracts; offer and acceptance; express and implied con-
tracts; consideration; form; statute of frauds (requiring some contracts
to be in writing); construction of contracts; performance, breach and
damages; of what contracts specific performance may be had, an«a
(b) Commercial Paper and Agency — The new negotiable instru-
ments law of Illinois will be considered in detail and construed in the
light of the law of merchants. Under this subject bills, notes, checks,
certificates of deposits, bonds, stock certificates, bills of lading, ware-
house receipts and other instruments of like character will be con-
sidered. Also the rights, and liabilities of makers, payees and en-
dorsers of negotiable paper; the steps necessary to be taken at maturity,
presentment for payment, notice of dishonor, protest, etc.; defenses
to suits, as alterations, infancy, usury, forgery, theft, fraud, etc. The
subject of agency will treat the topics of real and apparent authority;
ratification; undisclosed principles; duties of agents; powers of agents;
torts of agents; and the effects of agencies in various business
Second Half Tear, (a) Partnerships — Kinds of partnerships and
partners; the tests and proofs of the partnership relation; firm name;
firm capital and property; rights of partners; powers of partners to
bind firm; rights of third persons against firm and members thereof;
accounting by partners; dissolution of firm; limited partnerships.
(b) Corporations — Kinds; theory of; charter; by-laws; capital
stock; rights and duties of stockholders and directors; rights of
creditors; ultra vires and intra vires; foreign corporations; dissolution
and winding up of corporations.
(c) Suretyships — The liabilities of sureties; rights of co-sureties;
rights of sureties against principal on payment of debt; defenses of
surety and discharge; indemnity and official bonds.
(d) Carriers — The liability of the carrier at common law; the
limitation of that liability; the bill of lading; connecting carriers;
when liability begins, when ends; actions against carriers.
(e) Sales — Elements of; when complete; stoppage in transitu; sales
by sample; impHed and express warranties; breach of contract of
sale and actions.
The division of the subject into subheads is not intended to indicate
the entire breadth of the course, but merely to give an idea of the scope
of the work and suggest some of the main topics of information.
SCHOOL OF COMMERCE IQ
Second and Third Years
It is expected that the work of the second and third years will be
for the most part elective. The required subjects are designed to
equip the student with the more fundamental principles applicable
to business in general, after which he will adapt his course to the kind
of business he is preparing to pursue. A student intending to devote
himself to banking would naturally take as much work as possible
in finance; if he intended to follow the railroad business he would
elect work in transportation, and similarly for all the various lines of
business for which the work of the Northwestern University School
of Commerce is calculated to prepare. The University diploma
granted at the end of the course will designate the special line of
preparation which the student has followed.
Range of Subjects
The range of work for the second and third years of the course will
be embraced in the following subjects with such additions as experi-
ence may suggest. Except under special arrangement the wot k offered
during the year 1 908-1 909 will be confined to the first year subjects
as indicated above. The following outhne of work to be covered in
the succeeding ''years is not to be regarded as a fixed schedule- of
courses. In many cases the subject matter here described under a
single head may well furnish the basis of several separate courses.
The grouping of material moreover, in many cases will be subject to
change; the general nature of the subjects will remain substantially
as indicated. Wherever specific elective courses are announced for
the second and third years it is with the understanding that they will
be given only on sufficient registration.
Advanced Work in First Year Subjects
A continuation of the intermediate and advanced courses designed
primarily to broaden the foundation of students who intend to follow
accountancy as a profession. Concrete problems not covered in the
work of the preceding courses will be discussed. Specific application
20 NORTHWESTERN UNIVERSITY
will be made of advanced principles of accountancy to particular lines
of business; investment accounts, brokers' accounts, executors' and
trustees' accounts, merchandising accounts, railroad accounts, manu-
facturing accounts and cost keeping; problems involving the relation
of the accounting to other departments of the business. Specialized
courses in advanced accounting may be arranged as occasion demands.
Advanced work in finance will include a consideiation of the fol-
lowing subjects: brokerage; investments; speculation; financial
panics and industrial depressions; corporation finance and se-
curities; relation of banks to dealings in securities; function of
banks contrasted with that of trust companies and savings institu-
tions; organization and management of banks, of trust companies,
of savings institutions; organization of stock exchanges; American
and foreign banking systems; monetary systems and foreign exchange;
foreign trade and international credits; public relations of banking.
The advanced work will in many cases involve a more extensive
study of subjects considered in the first year course. The grouping
of subjects into individual courses is deferred until a later date.
Advanced Commercial Law
ItTis expected that after the first year at least, the topics in commer-
cial law above outhned will cover two years of work. In addition, a
course is contemplated in which afmore complete study of some of
the subjects will be undertaken. The second half year of this course
will be devoted largely to corporation law. A detailed study will be
made of the rights and powers of corporations under the Illinois and
the New Jersey Corporation Laws; the legal rights of stock and bond
holders, majority and minority interests, methods of corporation
government, their legal status. Public obligations of corporations.
Courses in Industrial Organization
Work in this field will aim to bring to the use of students the ex-
perience obtained in successful business undertakings. Typical
up-to-date concerns in various lines of business will be selected for
SCHOOL OF COMMERCE 21
study. A first hand investigation will be made of their organization,
division into departments, executive control, and the relation of the
various departments to the whole.
The more specialized courses in this subject will fall naturally into
two groups; first, those dealing with the different divisions of large
business concerns, such as buying, producing, selling, accounting,
executive management; second, courses dealing with the principles
and practice applicable to special lines of business as for instance,
banking, brokerage, insurance, manufacturing, merchandising, trans-
portation, shipping, real estate, mining, etc.
Among the special subjects covered by the courses in business organi-
zation will be the following:
Establishment and Management of a Business
Factors determining the time and place of opening a business:
General political and industrial conditions; proximity to a stable and
expanding market; probable competition, amount and kind; avail-
ability and cost of materials and power; freight rates and transporta-
tion facilities; rents; labor supply. Policy of management toward
laborers — the open or the closed shop. The organization of depart-
ments. Expansion through branch concerns; absorption of com-
petitors; division of business between branches; tests of efficiency of
branches. Large scale production, development of markets; disposal
of surplus product; cultivation of foreign markets. Relation between
the producing and finance elements in large business. Consistency
of general executive policy. Material for the course will be drawn
from concrete experience.
Advertising and Salesmanship
A study of the tests by which the relative advantages of advertising
media can be determined. The relation of volume and character of
periodical circulation to advertising value. A study of the quality
of publicity furnished by different sorts of advertising and its adapt-
ability to various kinds of goods. The mechanical and artistic
elements in advertising. The psychological basis of advertising.
Analysis of successful advertisements with reasons for their success.
Principles of successful selling. The psychological element in
salesmanship. The logical presentation of arguments; study of the
customer's wants. Salesmanship by letter. Literature and personal
22 NORTHWESTERN UNIVERSITY
correspondence. Organization of national and international selling
agencies. Special problems in salesmanship. Successful! selling
Development of the insurance feature in modern business. Place
of insurance against fire, accident and other calamities in business
organization. Mathematics of insurance; kinds of policies; risks,
as affected by provision for preventing fire and by other circum-
stances. Contrasts between fire and life insurance. Employers*
liability insurance. Investment of insurance funds. Public aspects
of insurance; state regulation.
It is expected that special courses dealing with the various kinds
of insurance will be organized for the benefit of advanced students
who are preparing to devote themselves to a particular line of insur-
The converging of great railroad systems with their central
offices in Chicago presents pecuHar opportunities for work in this
field. The courses offered will deal as far as possible with concrete
material and will aim to present the important facts of American
railway organization. A study will be made of different railway
systems as concerns their location; the traffic conditions prevailing in
their territory; character of traffic; relation of different kinds of traffic;
location of terminals; methods of handling traffic; classification of
traffic; principles and practice in rate making; domestic, export and
import, local and through rates, territorial classification of rates,
terminal charges. Executive management and general policy of
different railroad systems. Government regulation; problems of
railway management presented by state and federal regulation.
The wealth of material in this field and the great specialization
of the railway business will probably necessitate dividing the work
into a number of different courses.
The fact that Chicago is the great central market of the country
makes it especially desirable that the experience and the material
pertaining to the organization of its great mercantile establishments
should become available for the young men whose efficiency will
SCHOOL OF COMMERCE 23
determine both their own success and the commercial future of the
city. Courses offered will involve a study of the organization of the
wholesale and retail trades, the question of credits, principles involved
in the co-operation of dealers through commercial organizations
such as the Association of Commerce. A study will be made of lead-
ing establishments in different lines of business both wholesale and
retail; their division into departments, buying and selling policy;
organization of the executive branch of the business; methods of
holding departments responsible; general executive policy. The
constant aim of the work in this field will be to bring out by criticism
and discussion the principles involved in successful experience.
Frequent lectures by experienced business men possessing special
knowledge of the topic under discussion will supplement the regular
Publicity is the keynote of modern business. The publishing
business is important not only as an independent industry but also
as an adjunct of every important Hne of business. The official organ
is an indispensable element of every thriving trade. Publishing will
be studied from both these points of view. Typical publishing in-
stitutions will be observed and their organization discussed. The
organization of the different branches of the business, as book pub-
lishing, newspaper publishing, magazine publishing, will be studied.
Discussion will be had of the relation of pubHshing to other Hnes of
business. The aim will be to present the actual facts and principles
involved in the present organization of the industry. Representatives
of important publishing firms will assist in the presentation of the work.
Principles and practice involved in the management of real property.
Factors determining the value of real estate in different locations;
residence neighborhoods, suburban real estate; real property and
transportation facilities; effect of location and arrangement of streets;
business properties; office buildings. Practice connected with the
purchase and sale of real estate; methods of acquiring title; rights
and privileges of purchaser under mortgage; under conditional sale.
Law and usage concerning landlord and tenant; position of subtenant.
Relation of real estate transactions to contracting and buildingenterprise.
24 NORTHWESTERN UNIVERSITY
Courses Dealing with the Economic and PoHtical
Bases of Business
Economic Geography and Foreign Trade
A comparison of the resources and leading industries of different
countries. Trade conditions arising out of the systems of business
organization in different countries. Foreign countries as markets
for American goods, as places of investment for surplus American
capital. Trade conditions in South America, in the Far East. In-
fluence of shipping on foreign trade. Organization of ocean com-
merce. Effect of tariffs on international trade. Influence of stock
and produce exchanges on foreign trade.
Industrial conditions arising out of concentration of industry.
Economic progress of the last century; the development of resources;
improved methods of production. Development of industrial classes.
Business as affected by the consuming capacity of the population;
comparison of the consuming capacity of American v^ith foreign popu-
lations. The labor problem in different parts of the world; the
development of trade unions; present status of unionism; influence of
unions in business organization; different policies toward unions.
Consolidations of capital; effects of consolidation on business organi-
zation. Discussion of present economic conditions in business.
Public Relations of Business
Work in this field will involve a consideration of the way in which
business comes in contact with the community and the government.
The relations of a large business concern to the city, the state, the
nation. The business man as citizen. Civic functions of commercial
bodies such as associations of commerce, commercial clubs, boards
of trade, etc.
The government as a regulator of business; regulation of the hold-
ing and transmission of property; regulation of dangerous and offen-
sive trades; regulation of traffic in streets, of use of sidewalks, alleys,
etc.; regulation of corporate organization, of money and finance, of
commerce; regulation of public service industries such as railways,
street railways, gas and electric light companies, telephone and
SCHOOL OF COMMERCE 25
telegraph companies, water and power companies. Effect of public
service industries on the business conditions of a town or city. In-
fluence of public regulation on production; regulation from the point
of view of the consumer. Critical discussion of the object, efficiency,
and general policy of public regulation.
The connection of the school of commerce with other departmen ts
of the university and its proximity to neighboring institutions will
enable it to offer, after the first year, additional courses for which
there is sufficient demand. Numerous subjects not included neces-
sarily within the scope of a general course in commerce may be indis-
pensable for certain lines of business activity. The following are
some of the courses for which there is likely to be a demand:
The ability to use the English language with dignity and force is an
indispensable part of a business man's equipment. Students who
lack this ability will be expected to make up their deficiences before
graduation. English work offered in the School of Commerce will
assume a knowledge of ordinary forms and will aim to give students
a more complete mastery of the language and greater fluency of
expression. Drill and criticism in the writing of arguments, themes,
letters, reports, and other forms of composition will be an important
feature of the work.
Our insular possessions and the relations of the United States with
the South American Republics make a knowledge of Spanish indis-
pensable to many lines of business activity.
The unparalleled expansion of German commerce during the last
half century and the entry of the Germans into all the markets of the
world makes a knowledge of the German language a condition of
successful competition in many lines of foreign trade.
26 NORTHWKSTERN UNIVERSITY
Industrial Chemistry Industrial Engineering
It is probable that a number of students in the last year of their
course will desire elementary work in one or more scientific subjects
intimately connected with certain lines of industrial activity. The
laboratories located in the upper stories of the Northwestern University
building, in use during the day by the schools of pharmacy and den-
tistry, will make it entirely practicable to meet demands of this kind.
Application for Additional Courses
Students desiring to pursue work of a university grade not an-
nounced in this bulletin should make application at the office, Room
224, early in the year. This will facilitate an advance estimate of the
demand and may make possible, provision for work which otherwise
could not be arranged. As soon as practicable, applicants will be
advised whether the establishment of the desired courses appears
Provision has been made by which members of the Board of Guar-
antors and other men prominent in the business and professional life
of the community will from time to time give general lectures to all
the students in the school. In addition to this, regular instruction
in the several courses will provide, wherever practicable, for fre-
quent lectures by men who, from their experience, are in a position
to speak authoritatively upon the practical side of subjects under
SCHOOL OF COMMERCE 27
Applicants must be at least eighteen years of age. Every candidate
for admission who has not had the equivalent of a high school course
will be asked to submit a statement of his training and business ex-
perience; in case of doubt concerning his qualifications, he will be
asked to take an examination.
It is expected that a large portion of the students will have had the
advantage of a complete high school training and the equivalent of
such training will ultimately be required of all candidates for
a diploma. The university recognizes, however, that many young
business men who have not completed a high school course are
superior in mental power to less experienced men with better scholastic
opportunities. The criterion for admission to the several courses
will be the ability to pursue the work with profit. Only applicants
will be registered who have a good prospect of carrying the work
The Young Men's Christian Association and other institutions in
the city offer courses which will in many cases enable students to
make up deficiencies preparatory to entering the School of Commerce
at a later date.
Those who are not in a position to register for the complete diploma
course may take any single subject for which they are prepared. Should
the student later decide to complete the full course, subjects so taken
will be duly credited.
Methods of Instruction
Instruction will be adapted to the nature of the subject under con-
sideration. Lectures by the instructor will be supplemented by
free discussions and questioning, in which the members of the class
will participate. References will be made wherever practicable, to
different books in which the subjects taken up in class are further
discussed. It is expected that students will make a practice of noting
28 NORTHWESTERN UNIVERSITY
for further study important points covered in the work of the class.
Text books will in general give place to mimeograph copies of lectures
and class exercises with which students will be furnished. The
object of the instruction at all times will be to encourage self-expression
and a thorough-going mastery of the subject.
Graduation and Diploma
The foundation of the School of Commerce provides that the trus-
tees of Northwestern University upon recommendation of the Faculty
of the School of Commerce shall grant a diploma to students who
have completed satisfactorily its prescribed courses. Students are
strongly advised in their own interestto complete a full diploma course.
Degree of Certified Public Accountant
By act of the General" Assembly passed May 15, 1903, provision
is made for a state examination for the degree of Certified PubHc
Accountant. The Illinois Society of Certified PubHc Accountants
has long contemplated founding a school in which should be given the
work necessary to prepare for this degree. One of the results of
commercial development during the last generation has been the growth
in importance of the accounting profession. A knowledge of account-
ancy is becoming almost indispensable to the successful conduct of
every business. Business efficiency demands, moreover, that the
professional accountant shall be a man of broad and fundamental
training and of recognized professional standing parallel to that of
the lawyer and the physician. The close connection of the school of
Commerce with the leading men of the profession will enable it to
set a high standard of professional training.
The administration of the state law is placed upon the University
of Illinois, but it is the purpose of the Northwestern University School
of Commerce to co-operate in every possible way in providing the
training necessary to the successful operation of the law. The bulle-
tin of the University of Illinois concerning the degree of Certified
Public Accountant may be had on application.
SCHOOL OF COMMERCE 29
Membership in the University
The mass of material offered by the business activities of the city
and nation constitutes the laboratory of higher commercial education.
In harmony with the tendency toward specialization in other lines,
the work of systematizing this material and reducing it to teachable
form is becoming in large measure the special task of University
teachers. The establishment of the School of Commerce will naturally
result in expanding the University work along commercial and eco-
nomic lines. The instructing staff of the school will be drawn from
the several departments of Northwestern University augmented
wherever desirable by lecturers from the various professions and from
other universities. As the School of Commerce is an integral part of
the University, its students will be members of the University in every
sense of the word.
Credit in Other Departments of the University
Upon fulfilment of entrance requirements and payment of matricu-
lation fee, students in the School of Commerce may be entered as
candidates for degrees. Upon vote of the faculty of any department
of the University, work in the School of Commerce along Hues covered
by the curriculum of the department may be credited toward fulfill-
ing the requirements for a degree.
It is not proposed to confine the work in commerce to students in
evening courses. A large proportion of the subjects which should
come within the scope of a day course in commerce are now offered
at Evanston, as a regular part of the curriculum in the College of
Liberal Arts (See University Catalogue, pp. 88-91). It is expected
that these courses will be supplemented by other courses at Evanston,
and that arrangement will be made by which regular university students
who are preparing for a business career may take the last year of their
college work in Chicago, where they will be in close contact with the
commercial activities of the city. Students entering the University
in the fall of 1908 by choosing their elective studies along commercial
30 NORTHWESTERN UNIVERSITY
lines, should be able either at the end of their course or by taking an
additional year to receive both the college degree and the diploma
of the School of Commerce.
The evening courses are primarily for the benefit of men who are
regularly employed in business in Chicago. The Dean and Secretary
will be glad, however, to communicate with men from a distance who
desire to avail themselves of the opportunities of the school. It is
not impossible that in some cases prospective students can secure
positions in the city. Such an arrangement would add to the advan-
tages of the school, those of a broader business experience.
While the curriculum of the School of Commerce has not been
specifically arranged to meet the demands of consular examinations
now in force, it is obvious that efficiency and success in promoting
American commercial interests abroad demand a thorough mastery
of the fundamental principles underlying American business. It is
hoped that special courses may later be arranged for students who are
preparing for the consular service. In the meantime, courses offered
in the School of Commerce, supplemented by courses in the College
of Liberal Arts and Law School will furnish the preparation required.
The tuition fees in the School of Commerce will be as follows:
For full diploma course, four evenings of 2 hours each per week ^75.00
For three subjects, three evenings per week 60.00
For two subjects, two evenings per week 45«oo
For one subject, one evening per week 25.00
Tuition is divided into four equal installments, payable October
12, 1908, December 7, 1908, February 15, 1909, and April 5, 1909,
Students who become candidates for a degree will be required to
pay the matriculation fee of five dollars.
SCHOOL OF COMMERCE 3I
Until regular day work in Chicago is established in the School
of Commerce, students in other departments of the University will
be admitted to the courses of the School of Commerce upon payment
of the fees required in their respective departments.
No tuition will be refunded except upon satisfactory evidence that
illness compelled the student to withdraw permanently from the School.
A number of business men have offered scholarships in the School
of Commerce to men in their employ. It is expected many em-
ployers will avail themselves of this opportunity to encourage
ambitious young men and to show their appreciation of the qual-
ities that make for efficiency and progress.
Registration for work in the School of Commerce may be made at
the hours indicated below or at the regular time of meeting of the
Hours for Consultation
The office of the School of Commerce, in Room 224, Northwestern
University Building, at the corner of Lake and Dearborn Streets,
Chicago, will be open after September 15, 1908.
Between September 15th and October 5th, the Dean or Secretary
will be at the office from 12 to 6 daily, Saturdays from 12 to 2. Con-
sultation at other hours will be arranged, upon request. Office hours
after the opening ofthe academic year will be announced later.
Address all correspondence to the Northwestern University
School of Commerce, Lake and Dearborn Streets, Chicago.
Students Registered in Courses in
Finance and Accounting
for the Year 1907-1908
Barber, Henri Newton
Bennett, Alfred Ross
Chace, Paul Griswold
Corkill, Paul Paschal Cervera
Crilly, Steven A.
Daley, Thomas Andrew
Davies, Elmor G.
Drummond, John McDonald
Espy, Ralph E.
Fish, Clarence Everett
Ford, Charles Allinder
George, Bradley Frank
Gilby, Joseph Henry
Gilson, James Harold
Hackley, Gustavus Levant
Harrington, Charles N.
Harsha, Edward Houston
Henderson, Frank Henry
Hewitt, Norman Bailey
Hillstrom, George Richard
Hillstrom, Nellie Helena
Horwich, Arthur Nathaniel
Hubbard, Lyman Josiah
Hults, Robert Lawrence
Immerfall, Walter Francis
Lake, Richard Randolph
Langer, Charles Herman
Luther, Clarence Job
Mason, Frederick Henry
Mason, WilHam Ernest, Jr.
Meguire, Harold Hykes
Mitchell, Karl Maurice
Moeller, Ernest Augustus
Mueller, Walter Andrew
Parker, Mortimer Brainerd
Rastall, Ernest Shurly
Read, Edwin Lewis
Renn, G. B.
Renwick, John Stuart
Rosenthal, Herman Leonard
Salter, Lewis J.
Schnoor, Bernhardt Nicholas
Smith, Lewis Addington
Speedie, Arthur Davis
Strohbehn, Fred Charles
Shaw, Arch Wilkinson
Staehle, Robert Hallefas
Walker, Ralph Millard
Willard, C. B.
C The location of Northwestern University in and
near a large city, and property to the value of
$9,000,000, afford advantages that cannot be
C THE COLLEGE OF LIBERAL ARTS, located
at Evanston, in an ideal college community, offers
preparation for pursuits requiring broad training.
C THE MEDICAL SCHOOL is one of the oldest
and largest. Seven hospitals are open to students.
C THE LAW SCHOOL, the oldest law school
in Chicago, offers unexcelled library facilities and
prepares for immediate practice in any state.
C THE SCHOOL OF PHARMACY offers a
scientific training in Pharmacy and Chemistry.
a THE DENTAL SCHOOL offers expert train-
ing in theory and practice. Facilities unsurpassed.
C THE SCHOOL OF MUSIC affords preparation
for music as an accomplishment and a profession.
C THE SCHOOL OF ENGINEERING offers
advanced courses in all branches of engineering.
New building completed 1908.
C THE EVENING SCHOOL OF COMMERCE
offers University courses in accounting, banking,
and business principles. Located in Chicago's
C The University maintains Academies at Evans-
ton and Elgin, the Grand Prairie Seminary at
Onarga, and the School of Oratory at Evanston.
Address the President, 87 Lake Street, Chicago.
Cbansiton anb Cijttago
Designed and Printed by the Kimball Press, Evanston, Illinois
3 0112 105752833
Application made for entry as second-class matter
Bulletin of Northwestern University
at the Postoffice at Evanston, Illinois
Issued every month except
January, February, April and October
from University Hall, at Evanston, Illinois